A stated income commercial real estate loan can be invaluable when you’re trying to avoid a traditional commercial loan. In fact, one of the reasons you might want to avoid a traditional loan is because it takes so long to arrange and conclude, as opposed to a stated income loan, which can be wrapped up very quickly if everything is in order.

Another great reason to consider a stated income loan is that an alternative lender will not focus so much on your credit history, but will base the loan on the income potential of the property itself, and whether it can cover all the associated costs. Here are some of the ways you can use this unique and creative funding option from an alternative lender.

Debt Consolidation

By consolidating all your other sources of debt, you will be improving the financial health of your business, and the terms you negotiate with your alternative lender for a stated income loan are very likely to be more favorable than some of the high-interest debts you currently have.

Property Improvement

Improving the building, the grounds, and the overall workplace for your business can have a major impact on how everyone in your company feels about it, and on how productive they are. In addition, when other businessmen visit your company, they’ll take away a more favorable impression of your company, and may be more inclined to do business with you.

New Property Purchases

In the long run, buying the property on which your business operates can be far more favorable to you than renting or leasing that property. A stated income loan can provide the perfect solution for purchasing the property where your business operates.

Business Refinancing

If your company already owns the property upon which you conduct your business, refinancing at a lower interest rate via a stated income loan can save you a ton of money over the duration of your loan.

Working Capital

Every business needs working capital to pay the costs of daily operation, and to cover unexpected expenses which always arise in business. A stated income loan can provide the working capital you need to keep things running smoothly and efficiently.